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Problem Statement
Harry Rawlinson, the managing director of Aqualisa is faced with an interesting problem of selling the
Quartz showers. This shower is very innovative and solves problems of Plumber and end customer
beyond expectation. Rawlinson has the following questions to solve
(1) How to generate sales momentum?
(2) Was the problem that the Quartz priced too high? However he believes and he is reluctant to go the
discounted price route because his product is very niche.
Possible Alternatives
Rawlinson is debating on the following options:
(1) Targeting customers directly
(2) Targeting Do-It-Yourselfers
(3) Targeting Developers
Solution
We are proposing solutions where the major target audience is addressed.
Cost of
Shower
Traditional 675
shower
(not in
low
segment)
Quartz
850
Installation Cost
640
100
1415
[ Cost of the labor= 40 per (assumption as the case study
hour multipled by 16 (for 2 did not mention a value)
days)]
160
0
[ Cost of the labor= 40 per
hour multipled by 4(for 1/2
1010
days)]
Company
Company needs to marginally reduce the sales of the existing product and increase the availability of
Quartz. This would help customers to look for other available products of Aqualisa. However, there is
a risk that the customer may switch to another company if a product is not available.
Some people at the company had an opinion that Aquavalve which is the bread and butter of
Aqualisa will eventually be replaced by Quartz. The case study gives a negative tone while
presenting this information. Pestell, the National Sales Manager of Aqualisa needs to evangelize that
this is not a replacement product but Quartz has additional advantages.
Company should take initiative to install Quartz in public places like hotels, swimming pools where
the people get an opportunity to understand the benefit of Quartz.
Company also needs to take initiative to create brand awareness at the consumer
level
Posted 9th May 2012 by - Neo